Most of you can't remember interest at the low rate of 12.5%. Let's review this ad placed in a Homes for Living magazine in 1986.
Let's figure. A $54,000 loan today at 5% would give you a payment of $289.88. That's quite a savings.
For the payment of $562.82 you could purchase a $104,843 loan!
And that's about what a $54,000 house would cost now!
And the interest rates climbed on and on up! By the end of the 80's they were around 17% or more.
Let's figure. A $54000 loan at 17% would be $769.86. YIKES!!!
I'm tired and don't want to play this game anymore! But aren't we pretty fortunate today to have such low interest rates?